Title: 3.Pass-Through Funds from The Commonwealth
Accounting Policies: The information in the accompanying Schedule of Expenditures of Federal Awards (the "Schedule") is presented in accordance with the Title 2 U.S. Code of Federal Regulations Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards (Uniform Guidance) and therefore, some amounts may differ from amounts presented in or used in the preparation of the UMass Memorial Health Care, Inc. and Affiliates (the "System") consolidated financial statements. The purpose of the Schedule is to present a summary of those activities of the System for the year ended September 30, 2022, which have been funded by the U.S. Government (federal awards).For purposes of the Schedule, federal awards include all grants, contracts and similar federal assistance agreements entered directly between agencies and departments of the federal government and the System and federal awards passed through to the System by primary recipients of federal awards. Since the Schedule presents only a selected portion of activities of the System, it is not intended to and does not, present the balance sheet, results of operations, changes in net assets or cash flows of the System. Negative amounts reported in the Schedule represent adjustments to expenditures reported in the prior year. Assistance Listing Numbers (ALN) and agency or pass-through numbers are provided when available.
De Minimis Rate Used: N
Rate Explanation: The System has not elected to use the 10% de minimis indirect cost rate as allowed under the Uniform Guidance and has recovered indirect costs under certain federally funded grants for the year ended September 30, 2022 under an indirect cost rate of 16.2%. The indirect cost rate has been established by a letter dated November 7, 2018, from the System's cognizant agency, the Department of Health and Human Services, for the effective period from October 1, 2021 to September 30, 2024.
Federal pass-through funds from The Commonwealth of Massachusetts (the "Commonwealth") included in the Schedule totaling $6,008,240 (7% of the total expenditures of federal awards) are presented for the Commonwealth's fiscal year (July 1, 2021 through June 30, 2022) and were taken directly from balances provided to the System by the Commonwealth. The System expended federal and non-federal pass-through funds for the period October 1, 2021 through September 30, 2022 of $9,212,654 compared to $6,303,348 for the period October 1, 2020 through September 30, 2021. Of these expenditures, the Commonwealth is unable to identify for the System what portion of the October 1, 2021 through September 30, 2022 expenditures are related to federal funding. During the period July 1, 2022 through September 30, 2022, the amount of pass-through funds expended (Federal and Commonwealth) totaled $2,027,524 compared to $2,011,114 for the period from July 1, 2021 through September 30, 2021.
Title: 4.Special Supplemental Nutrition Program for Women, Infants and Children
Accounting Policies: The information in the accompanying Schedule of Expenditures of Federal Awards (the "Schedule") is presented in accordance with the Title 2 U.S. Code of Federal Regulations Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards (Uniform Guidance) and therefore, some amounts may differ from amounts presented in or used in the preparation of the UMass Memorial Health Care, Inc. and Affiliates (the "System") consolidated financial statements. The purpose of the Schedule is to present a summary of those activities of the System for the year ended September 30, 2022, which have been funded by the U.S. Government (federal awards).For purposes of the Schedule, federal awards include all grants, contracts and similar federal assistance agreements entered directly between agencies and departments of the federal government and the System and federal awards passed through to the System by primary recipients of federal awards. Since the Schedule presents only a selected portion of activities of the System, it is not intended to and does not, present the balance sheet, results of operations, changes in net assets or cash flows of the System. Negative amounts reported in the Schedule represent adjustments to expenditures reported in the prior year. Assistance Listing Numbers (ALN) and agency or pass-through numbers are provided when available.
De Minimis Rate Used: N
Rate Explanation: The System has not elected to use the 10% de minimis indirect cost rate as allowed under the Uniform Guidance and has recovered indirect costs under certain federally funded grants for the year ended September 30, 2022 under an indirect cost rate of 16.2%. The indirect cost rate has been established by a letter dated November 7, 2018, from the System's cognizant agency, the Department of Health and Human Services, for the effective period from October 1, 2021 to September 30, 2024.
In fiscal year 2022, the Special Supplemental Nutrition Program for WIC issued vouchers to program participants to be used at local grocery stores. Included in the WIC program federal expenditures is $1,686,109 which represents the value of the vouchers, which is not directly received by the System, but is included in the Schedule.
Title: 5.Department of Health and Human Services Provider Relief Funds
Accounting Policies: The information in the accompanying Schedule of Expenditures of Federal Awards (the "Schedule") is presented in accordance with the Title 2 U.S. Code of Federal Regulations Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards (Uniform Guidance) and therefore, some amounts may differ from amounts presented in or used in the preparation of the UMass Memorial Health Care, Inc. and Affiliates (the "System") consolidated financial statements. The purpose of the Schedule is to present a summary of those activities of the System for the year ended September 30, 2022, which have been funded by the U.S. Government (federal awards).For purposes of the Schedule, federal awards include all grants, contracts and similar federal assistance agreements entered directly between agencies and departments of the federal government and the System and federal awards passed through to the System by primary recipients of federal awards. Since the Schedule presents only a selected portion of activities of the System, it is not intended to and does not, present the balance sheet, results of operations, changes in net assets or cash flows of the System. Negative amounts reported in the Schedule represent adjustments to expenditures reported in the prior year. Assistance Listing Numbers (ALN) and agency or pass-through numbers are provided when available.
De Minimis Rate Used: N
Rate Explanation: The System has not elected to use the 10% de minimis indirect cost rate as allowed under the Uniform Guidance and has recovered indirect costs under certain federally funded grants for the year ended September 30, 2022 under an indirect cost rate of 16.2%. The indirect cost rate has been established by a letter dated November 7, 2018, from the System's cognizant agency, the Department of Health and Human Services, for the effective period from October 1, 2021 to September 30, 2024.
The Schedule includes grant activity related to the Department of Health and Human Services (HHS) Provider Relief Fund and American Rescue Plan (ARP) Distribution Assistance Listing Number 93.498. As required based on guidance in the 2022 OMB Compliance Supplement, the Schedule includes lost revenues and direct expenditures reported for Period 2 on March 31, 2022 and Period 3 on September 30, 2022 as reported to the HHS via the PRF Reporting Portal. The Schedule thus includes $33,372,000 of direct expenditures and $34,886,000 in lost revenue. Additionally, lost revenue does not represent an expenditure in the System's consolidated financial statements and thus is a reconciling item between the federal expenses in the System's consolidated financial statements and the amount included on the Schedule. The Scheduleexcludes lost revenues and direct expenditures for Period 2 and Period 3 for UMass Medical - Harrington, Inc. as those funds were received prior to the System's acquisition of Harrington on July 1, 2021.